ABSTRAKIn the Indonesian historiography, the contest for market between the Chinese and indigenous traders has long attracted
much scholarly attention, however this issue was actually only part of the story. This article seeks to elaborate the
Japanese and Chinese import trade competition in Java during the 1930s depression. Drawing upon both primary and
secondary historical materials, it is argued that instead of creating a time of hardships, the crisis
paved the way for
Japan?s import trade expansion. Benefiting from the
creation of large market for cheap products among
the customers in
Java suffering from a decline in purchasing power and their owned trade networks, a great number of Japan products
will soon controlle the market. The Chinese found that their well-established economic position was seriously
threatened. Although Japan?s fast rising market domination was eventually removed, it was due to the changing of the
socio-political environment that created major obstacles for the Japanese to maintain its position, rather than that of the
responses of the Chinese traders.
